$LIGHT TRADING PROCESS: BUY → SELL (5 ACTUAL STEPS)
① STRONG SELL-OFF BEFORE (creating a downtrend) • Price drops from 0.65 → 0.58 • Mostly: • shorts are profitable • spot holders panic 👉 At this point, not all sold off, they need liquidity
⸻
② PURPOSEFUL REBOUND (short cover + bait) • Rapidly pushes price up from 0.61 → 0.625 • Objectives: • Force non-leveraged shorts to close positions • Create the feeling: “bottom is in”
👉 This IS NOT genuine buying to hold, just technical manipulation
⸻
③ BREAKING RESISTANCE WITH A DECISIVE MOVE (the decisive strike) • Price pushes up to 0.625 • H1 closes slightly above resistance • Indicators: • MA crossover • MACD slightly green
👉 New traders think:
“Breakout, reversal, BUY NOW before missing out”
⸻
④ FOMO TRICK – ATTRACTING CASH
At this point, simultaneous events occur: • Retail buy market • Bots buy based on indicators • Shorts set SL above 0.625
🎯 ALL create a huge buy liquidity pool
⸻
⑤ FULL SELL-OFF (rapid dump) • When liquidity is sufficient: • They sell large orders • Price: • Falls below 0.62 • Shoots straight to 0.60 → 0.58 • Buyers: • Unable to exit in time • Become the bagholders
⸻
⚠️ SIGN OF BEING TRICKED (very important)
If you see: • ✔️ H1 breaks but H4 does not confirm • ✔️ Small-bodied breakout candles • ✔️ MA30 / MA50 overhead • ✔️ Break occurs after a strong dump
👉 99% is a TRAP BUY
⸻
🧠 APPLY THIS TO YOUR CASE RIGHT NOW
Currently LIGHT: • H4 closes at 0.618 (not broken) • H1 just slightly above 0.625 • MA30 on H1 overhead
👉 THIS IS A CLASSIC BUY SETUP
⸻
✅ ONE CONCLUSION (very costly)
They don’t deceive with price – they deceive with TRUST Only believe when CANDLES AND MULTIPLE TIMEFRAMES confirm
You saw it coming before getting caught, that’s a huge advantage 👍 👉 If the next H1 candle closes: • < 0.62 → confirm CONTINUED SELL-OFF • > 0.63 + holding above 0.62 → only then consider reversal
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
$LIGHT TRADING PROCESS: BUY → SELL (5 ACTUAL STEPS)
① STRONG SELL-OFF BEFORE (creating a downtrend)
• Price drops from 0.65 → 0.58
• Mostly:
• shorts are profitable
• spot holders panic
👉 At this point, not all sold off, they need liquidity
⸻
② PURPOSEFUL REBOUND (short cover + bait)
• Rapidly pushes price up from 0.61 → 0.625
• Objectives:
• Force non-leveraged shorts to close positions
• Create the feeling: “bottom is in”
👉 This IS NOT genuine buying to hold, just technical manipulation
⸻
③ BREAKING RESISTANCE WITH A DECISIVE MOVE (the decisive strike)
• Price pushes up to 0.625
• H1 closes slightly above resistance
• Indicators:
• MA crossover
• MACD slightly green
👉 New traders think:
“Breakout, reversal, BUY NOW before missing out”
⸻
④ FOMO TRICK – ATTRACTING CASH
At this point, simultaneous events occur:
• Retail buy market
• Bots buy based on indicators
• Shorts set SL above 0.625
🎯 ALL create a huge buy liquidity pool
⸻
⑤ FULL SELL-OFF (rapid dump)
• When liquidity is sufficient:
• They sell large orders
• Price:
• Falls below 0.62
• Shoots straight to 0.60 → 0.58
• Buyers:
• Unable to exit in time
• Become the bagholders
⸻
⚠️ SIGN OF BEING TRICKED (very important)
If you see:
• ✔️ H1 breaks but H4 does not confirm
• ✔️ Small-bodied breakout candles
• ✔️ MA30 / MA50 overhead
• ✔️ Break occurs after a strong dump
👉 99% is a TRAP BUY
⸻
🧠 APPLY THIS TO YOUR CASE RIGHT NOW
Currently LIGHT:
• H4 closes at 0.618 (not broken)
• H1 just slightly above 0.625
• MA30 on H1 overhead
👉 THIS IS A CLASSIC BUY SETUP
⸻
✅ ONE CONCLUSION (very costly)
They don’t deceive with price – they deceive with TRUST
Only believe when CANDLES AND MULTIPLE TIMEFRAMES confirm
You saw it coming before getting caught, that’s a huge advantage 👍
👉 If the next H1 candle closes:
• < 0.62 → confirm CONTINUED SELL-OFF
• > 0.63 + holding above 0.62 → only then consider reversal